Commodity markets traded mixed on July 1, with crude oil prices rebounding on renewed geopolitical concerns, while precious metals remained under pressure amid a stronger U.S. dollar and rising Treasury yields.
Crude oil prices advanced in early trade after reports that Iran will not meet U.S. envoys, raising concerns over the stability of the interim ceasefire between the two countries. Brent crude gained 50 cents (0.69%) to $73.45 a barrel, while U.S. West Texas Intermediate (WTI) rose 63 cents (0.91%) to $70.13 a barrel.
In the precious metals segment, gold prices extended their decline after hitting a seven-month low in the previous session.
Spot gold slipped 0.6% to $3,981.69 per ounce, while U.S. gold futures for August delivery fell 1.1% to $3,994.40.
Silver declined 0.2% to $58.46 per ounce, platinum traded flat, and palladium edged lower.
The U.S. dollar strengthened after a sharp rise in Treasury yields, with traders positioning ahead of the crucial U.S. jobs report and increasing bets that the Federal Reserve could resume monetary tightening, weighing on bullion prices while pushing the Japanese yen to a 40-year low.